Brown signs off on billions worth of state cuts

(03-24) 14:11 PDT Sacramento -- Democratic Gov. Jerry Brown signed into law billions of dollars worth of cuts to state services today, but acknowledged that state leaders still have to find more than $12 billion in cuts or revenues to close the state's budget gap.

Despite an impasse between Democrats and Republican lawmakers over the budget that has become more clear in recent days, Brown said he is still hopeful that some GOP legislators - he needs two in the Senate and two in the Assembly - will "give the people the right to vote" in June on the $14 billion worth of tax extensions and increases he has proposed. Democrats are running out of time to get the tax measures on a June ballot.

Brown said he's willing to work on some of the reforms, such as changes to state pension benefits, that GOP lawmakers have called for, "but I don't think you can solve disputes on all these subjects in next week or two," he added.

"I have been talking to Republicans who would like to give the people the right to vote," he said. "So far they have, I think, expressed a certain amount of optimism, and there are things they want to add to this."

He noted that just solving the budget deficit is a huge challenge, and said adding other issues to the debate could only make it more difficult to get a budget through the Legislature.

"We are only halfway to the goal line," he said after signing the bills, which Democrats say are worth about $10.8 billion in cuts and Republicans argue are closer to $7 billion in spending reductions.

The two sides disagree on the total dollar figure the cuts represent, because Democrats include in their definition shifts of money from certain funds - like transportation weight fees or mental health services - to the general fund, while Republicans count just permanent spending cuts.

Brown said if taxes are not put before voters, he and lawmakers will have to make even deeper reductions to state services, including up to $5 billion worth of cuts to K-12 education and taking billions of dollars from universities.

"We have to find more revenue or more and more drastic cuts, and certainly the next round of cuts will be much more painful and much more disruptive than the cuts to date," he said. "I want the people of California to understand we are in a serious bind here and we are going to get more revenues or get some drastic cutbacks."

During the 30-minute news conference, Brown's tone varied. At times he was optimistic, but he also leaned hard on Republicans.

"It's shocking they can say so cavalierly, 'Shut up, you have no right (to vote)'," he said at one point. "I have beseeched (Republicans) to give the people the right to vote on what California should look like over the next several years ... I think this is bigger than the Democratic Party, this is bigger than the Republican Party or the Legislature."

After days with no progress on negotiations, Senate President Pro Tem Darrell Steinberg, D-Sacramento, was also feeling more optimistic Thursday. During a Senate floor session this morning, he told reporters his "mood meter" had gone from negative on Wednesday to "more positive" today, "in part because there are members who have indicated a willingness to negotiate and talk now."

"The discussions on the specifics are intensifying, so let's see how this day goes," he said.